30 May 2016
Taxability of a cash gift given exceeding Rs.50,000/- to Sister in laws son's wife. Will this cash gift received be taxable in the hands of Sister in laws son's wife ( Assessee) ??
30 May 2016
What does the Income Tax Act say about gifts?
The I-T Department considers:
money given in cash/cheque or drafts immovable property such as land or building or both movable property like shares, jewellery, drawings, paintings or sculptures, gold bars as gifts. When are gifts exempt from tax?
You are exempt from tax under the following situations:
monetary value of all gifts received don't add up to Rs.50,000. Received from a relative Received on occasion of marriage Received by way of a will or inheritance Received in contemplation of death of the payer Received from Local Authority Received from a fund, foundation, university, or other educational institution, hospitals, or any trust of institution defined in Section 10(23C) Money Received from a charitable Institution registered under section 12AA Who is a relative?
Your immediate family - parents, siblings, spouse and children Your spouse's parents and siblings Your parents' siblings Your siblings and their spouses How are gifts taxed?
These are chargeable under the head "Income from Other Sources" in the receiver's income tax returns
Abhishek Ranjan Singh ARS Solutions www.arssolutions.co.in +919022838615
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